UK retail sales suffer record decline as online surge fails to offset impact of closed shops
A sharp rise in online shopping failed to offset plummeting UK retail sales last month, which suffered a record decline in April due to the coronavirus lockdown.
Total sales plunged 19.1 per cent in April, against an increase of 2.4 per cent last year, which is the worst decline since records began in 1995.
Over the three months to April, in-store UK retail sales of non-food items plunged 36 per cent on a total basis.
Food sales increased 4.5 per cent on a total basis in April. However, last month food sales declined year-on-year as Brits held back on Easter spending in lockdown, according to the latest research by the BRC.
Online non-food UK retail sales surged by 57.9 per cent last month, compared to a growth of four per cent last year, and the online penetration rate increased from 29.9 per cent to 69.9 per cent.
“With lockdown measures in full swing, April saw a record fall in retail sales,” said Helen Dickinson, BRC chief executive.
“Food sales were disappointing, with the virus preventing large family gatherings and turning Easter into a more modest affair.”
She added: “Even the dramatic rise in online sales could not make up for the loss of instore purchases.
“Coronavirus has accelerated many of the trends seen prior to the outbreak and it is likely that as the lockdown wears on, these new shopping habits – such as the trend towards online purchases – will become more entrenched for many consumers.”
Meanwhile, the latest spending data from Barclaycard published this morning showed that consumer spending contracted 36.5 per cent year on year in April.
Spending on non-essential items fell 47.7 per cent with travel, which includes public transport, suffering a decline of 86.8 per cent as people worked from home rather than commuting.
The closure of bars, pubs and clubs saw spending at those venues fall 96.9 per cent.
However, Brits spent 37.7 per cent more at food and drink specialist stores such as off-licences, greengrocers, butchers and bakeries, as consumers sought to support local businesses.